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Bahrain's constitution requires the government to assist in providing housing for all citizens unable to obtain adequate shelter through their own resources. Nearly three-fifths of all Bahrainis have benefited from government housing assistance in some way, and the government has likewise expended significant resources in recent decades to develop associated infrastructure. In 2001 the government inaugurated a new program to extend housing assistance to rural towns and villages.

The Ministry of Housing provides house loans, flats and house for Bahraini citizens. A waiting time that ranges between 5 to 15 years is a normal practice. The government plans to reduce the waiting time to less than 3 years. 

Bahrain's property market has soared in the past few years. Easing of residence and ownership restrictions has made property in Bahrain more attractive. Demand and supply for residential sector in real estate can be broken down into two categories, namely: Housing units and Flats.

Despite the increasing activities in the real estate sector, there exists shortage of housing in Bahrain, especially in the low to medium income family range. In Bahrain, about 3,000 marriages are conducted each year and assuming a 50 percent requirement of housing units, about 1,500 houses are needed per annum on a continuous basis.

In Bahrain you can find a wide spectrum of properties from well furnished 1 roomed apartment to exclusively furnished business suites, which fill all your requirements.

Over the next few years a whole swathe of real estate projects will come on stream that will make property investors look further at this market. International Property Brokers forecast that the focus in Bahrain will be switching to residential property in the next few years.

Buying a Property

Essentially it has been possible for foreign investors to purchase real estate in Bahrain since 2001 when a royal declaration was issued to that effect.

The declaration was fully endorsed and sanctioned in 2003 Ž and it states that foreign buyers are permitted to buy certain types of property in certain areas of Bahrain.

In terms of the property buying process in Bahrain it proceeds in a similar way to the majority of buying processes worldwide. Investors are advised to seek independent legal assistance throughout the entire purchase process of course and the legal property ownership rights in Bahrain are sophisticated and well developed, meaning the purchaser is protected once permission to purchase has been granted and deeds of ownership transferred into the investor's name.

Foreigners are allowed to own land in the following Areas:

1) Residential and commercial buildings areas (10) floors or more in the city of Manama:
a) The suburb of Ahmed Al-Fateh (Juffair previously).
b) Al-Hoora district.
c) Bogazal area.
d) A suburb north of Manama, including the diplomatic area.

2) Al-Seef district (Buildings Class (10), (5) and (3) floors).

3) The following tourist areas:
a) Durrat Gulf of Bahrain area.
b) Danat Hawar area.
c) Amwaj Islands area.

4) Areas of the Bahrain Financial Harbor Project, Bandar Al Seef and Pearl Island.


Renting accommodation in Bahrain is a straightforward, well-established practice. Major international and local real estate agencies are available.

There's a wide range of apartments and villas available in Bahrain, both within and outside gated compounds.

Rental costs vary enormously for villas of different sizes, some with swimming pools, others without, and between old and new apartment blocks, in accordance with the desirability of the location.


Mortgages are available to individuals. Mortgage rate in Bahrain is approximately 6%. There are several banks and finance companies that are financing the purchase of real estate for both locals and foreigners.

Page Last Updated: 11 Sep, 2017